# Reasons for the recent rise in long-term unemployment

Kroft et al document the raise of long-term unemployed in the US during the recent crises. This is an impressive figure from their paper:

They show that the raise does not come from compositional effects. However, they cannot find the reason for this phenomenon. For some reason, apparently, long-term unemployed are less likely to find a job, and hence their stock accumulates.

Potential reasons I could think of are

• Human capital deterioration
• Discrimination of employers
• Shrinking motivation of searching

What other reasons does the literature find? Is there empirical support for any of this?

• I'd go with your reason number three; see the last paragraph at this link: en.wikipedia.org/wiki/…. Note the 99 weeks for some workers. – RobEconomix May 5 '15 at 14:59